Analyzing Mobileye Global (NASDAQ:MBLY) and Visteon (NASDAQ:VC)

Visteon (NASDAQ:VC) and Mobileye Global (NASDAQ:MBLY) are both mid-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, analyst recommendations, risk, dividends, institutional ownership and profitability.

Volatility and Risk

Visteon has a beta of 1.3, indicating that its stock price is 30% more volatile than the S&P 500. Comparatively, Mobileye Global has a beta of 1.25, indicating that its stock price is 25% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for Visteon and Mobileye Global, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Visteon	0	5	8	0	2.62
Mobileye Global	2	10	9	2	2.48

Visteon currently has a consensus price target of $132.18, suggesting a potential upside of 48.07%. Mobileye Global has a consensus price target of $11.91, suggesting a potential upside of 57.12%. Given Mobileye Global’s higher probable upside, analysts plainly believe Mobileye Global is more favorable than Visteon.

Earnings & Valuation

This table compares Visteon and Mobileye Global”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Visteon	$3.77 billion	0.63	$201.00 million	$7.65	11.67
Mobileye Global	$1.89 billion	3.36	-$392.00 million	($4.99)	-1.52

Visteon has higher revenue and earnings than Mobileye Global. Mobileye Global is trading at a lower price-to-earnings ratio than Visteon, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

99.7% of Visteon shares are held by institutional investors. Comparatively, 13.3% of Mobileye Global shares are held by institutional investors. 2.0% of Visteon shares are held by company insiders. Comparatively, 10.0% of Mobileye Global shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Visteon and Mobileye Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Visteon	5.58%	14.61%	7.07%
Mobileye Global	-201.49%	0.70%	0.67%

Summary

Visteon beats Mobileye Global on 10 of the 15 factors compared between the two stocks.

About Visteon

Visteon Corporation, an automotive technology company, designs, manufactures, and sells automotive electronics and connected car solutions for vehicle manufacturers worldwide. The company provides instrument clusters, including analog gauge clusters for 2-D and 3-D display-based devices; information displays that integrate a range of user interface technologies and graphics management capabilities, such as active privacy, TrueColor enhancement, local dimming, cameras, optics, haptic feedback, and light effects; and infotainment and connected car solutions, including scalable Android infotainment for seamless connectivity, as well as onboard artificial intelligence-based voice assistants with natural language understanding. It offers wired and wireless battery management systems; power electronics units; and telematics control units to enable secure connected car services, software updates, and data. In addition, the company provides SmartCore, an automotive-grade, integrated domain controller; SmartCore Runtime, a middleware enabling communication between domains and apps to be shown on any display; SmartCore Studio, a PC-based configuration tool to generate hypervisor configurations; and body domain modules, which integrate various functions, such as central gateway, body controls, comfort, and vehicle access solutions, into one device. Visteon Corporation was incorporated in 2000 and is headquartered in Van Buren, Michigan.

About Mobileye Global

Mobileye Global Inc. develops and deploys advanced driver assistance systems (ADAS) and autonomous driving technologies and solutions worldwide. The company operates through Mobileye and Other segments. It offers Driver Assist comprising ADAS and autonomous vehicle solutions that covers safety features, such as real-time detection of road users, geometry, semantics, and markings to provide safety alerts and emergency interventions; Cloud-Enhanced Driver Assist, a solution for drivers with interpretations of a scene in real-time; Mobileye SuperVision Lite, a navigation and assisted driving solution; and Mobileye SuperVision, an operational point-to-point assisted driving navigation solution on various road types and includes cloud-based enhancements, such as road experience management. The company also provides Mobileye Chauffeur, a first-generation solution for eyes-off/hands-off driving with a human driver still in the driver’s seat; Mobileye Drive, a self-driving system comprising of radar and lidar subsystems, as well as collision avoidance systems, including Mobileye 8 Connect for light and medium-duty vehicles, and Mobileye Shield+ for large vehicles. It serves original equipment manufacturers. The company was founded in 1999 and is headquartered in Jerusalem, Israel. Mobileye Global Inc. operates as a subsidiary of Intel Overseas Funding Corporation.